Connect with us

Hi, what are you looking for?

Stock

Goldman Sachs expecting increase in corporate mergers -executive

Stock Markets15 minutes ago (Jun 03, 2021 12:56PM ET)

(C) Reuters. FILE PHOTO: The Goldman Sachs company logo is seen in the company’s space on the floor of the New York Stock Exchange, (NYSE) in New York, U.S., April 17, 2018. REUTERS/Brendan McDermid/File Photo

By Elizabeth Dilts

NEW YORK (Reuters) -Goldman Sachs Group Inc President John Waldron said on Thursday that the bank expects a ramp-up in corporate mergers in the United States, because company executives are feeling more optimistic about the economy.

“We’re going to see an acceleration of merger activity” among U.S. corporations and, to a lesser extent, blank-check companies, Waldron said.

Goldman Sachs (NYSE:GS) has one of the world’s largest investment banks, and it reported a massive jump in first-quarter profit due to record levels of SPAC deals, where private firms merge with listed shell companies.

Goldman’s investment bank produced $3.8 billion in revenue in the first quarter this year, up 73% from the year-ago quarter.

Waldron said the bank expects further acceleration in dealmaking activity to come from companies because executives are feeling better about the economy.

“We are seeing rising CEO confidence. CEO confidence is an extremely important factor… (in being) more offensive in M&A,” Waldron said.

Waldron, who is also Goldman’s chief operating officer, stopped short of saying that his own company would jump in on the activity. He highlighted two recent acquisitions the bank completed -of United Capital in 2019 and Folio Financial in 2020 – saying they are typical of the “bolt-on” deals investors should expect.

“We always evaluate buy versus build,” Waldron said. “But anything that gets larger than what you and I would think of as a bolt-on is hard to integrate, and the bar goes up financially and from a culture standpoint.”

Goldman Sachs expecting increase in corporate mergers -executive

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Stock

Stock Markets25 minutes ago (Jul 16, 2021 05:46PM ET) (C) Reuters. FILE PHOTO: Johnson & Johnson’s Neutrogena Cool Dry Sport sunscreen, which is part...

Tech

Builders, creators and developers, this one’s for you! TechCrunch has always been about discovering fresh solutions and shining the light on exciting, new products...

Stock

(C) Reuters. FILE PHOTO: Indian billionaire Gautam Adani speaks during an interview with Reuters at his office in the western Indian city of Ahmedabad...

Disclaimer: Wisegazette.com it's managers and its employees (collectively "The Company") do not make any guarantee or warranty about what is advertised or above. Information provided by this website is for research purposes only and should not be considered as personalized financial or health advice. Copyright © 2021 Wise Gazette. All Rights Reserved